Study Recommends Banks to Adopt Digital Technologies

Published By : 06 Aug 2015 |Published By : QYRESEARCH

In order to ensure sustainable growth and meet the surging demand for mobile banking, banks must either adapt the latest digital technologies or die, says a recent study. New studies have warned the banks against the rising number of mobile customers around the world, which soon will account for a quarter of the global population.

In the next four years, mobile banking is expected to more than double itself. Presently the total number of mobile banking customers is about 800 million people, which according to a research conducted by the UBS investment bank and KPMG, an accountancy firm, will reach 1.8 billion in the next few years.

The spurt in the number of mobile banking users is attributed to the increasing access of mobile phones. Moreover the consumers around the world have become more aware and they now seek better, convenient, and more efficient ways of transferring money, which is why mobile banking is gaining popularity with every passing day. Even the most established banks alongside digital start-ups and technology giants are vying to capture the lion’s share of the nascent market.

Industry veterans have earlier warned traditional banks that are busy maintaining their traditional technology systems, of soon to be losing revenue as well as customers to nimble digital firms if they fail to provide efficient and seamless mobile banking services to their customers.

David Hodgkinson, hailing from KPMG in one of his recent interviews said that the banks should start adopting mobile technology as soon as possible. Mobile banking is evidently supplanting every other channel in the industry as the main portal bridging consumers and banks.

He also said that while an increasing number of banks have already risen to challenge and have started investing in newer technologies to build digital infrastructure, others should follow the suit to keep pace with the changing society.